FIMI Submits Bid to Acquire Controlling Stake in Struggling Maytronics
Private equity firm FIMI has offered to acquire a 50% stake in embattled pool cleaner maker Maytronics for 200 million shekels, aiming to rescue the firm after a 97% valuation plunge.
The private equity fund FIMI, led by Yishai Davidi, has submitted a non-binding offer to acquire a 50% controlling stake in Maytronics, the swimming pool cleaner manufacturer that has seen its market value plummet by 97% over the past five years. Under the proposal, FIMI will initially invest approximately 200 million shekels through a share allocation, valuing the company at 200 million shekels pre-money—roughly 8% below its trading value prior to the announcement.
The deal structure includes two subsequent options for FIMI to inject up to an additional 150 million shekels over the next two years at higher company valuations of 250 million and 300 million shekels, respectively. If finalized, the transaction will dilute Kibbutz Yizreel's controlling stake from 56% to approximately 28%, alongside the dilution of other major shareholders such as Spiral Hedge Fund and Analyst Investment House. FIMI plans to use the capital injection to ease Maytronics' net debt burden, which currently stands at nearly 600 million shekels, and to halt ongoing financial losses.
Crisis After Pandemic Boom
Maytronics, founded in 1983 at Kibbutz Yizreel and once a crown jewel of Israeli kibbutz industry, achieved record-breaking performance in 2021 amid pandemic-driven demand, soaring to a peak valuation of 9.1 billion shekels. However, the post-pandemic normalization brought a severe downturn, characterized by distributor overstocking, rising interest rates, and fierce competition from lower-cost Chinese alternatives that eroded its market share.
Financial results deteriorated sharply, culminating in a net loss of 222 million shekels on revenues of approximately 1.4 billion shekels in 2025, prompting CEO Sharon Goldenberg to step down. The downward trend persisted into the first half of 2026, with revenues dropping 13% year-over-year to 747 million shekels and an additional net loss of 34.5 million shekels. With the company's order backlog shrinking and market pressures mounting, the kibbutz leadership turned to FIMI to engineer a turnaround.
Path Forward and Approvals
FIMI has been granted a two-month due diligence period, and the acquisition must secure formal approvals from both the members of Kibbutz Yizreel and the company's general shareholders meeting. Given FIMI's proven track record of successfully rehabilitating distressed industrial assets—such as its profitable turnaround and eventual sale of Rivulis—industry observers anticipate that kibbutz members will back the rescue deal to salvage the remaining value of their holdings.
